Rethinking Industrial Strategy: The Role of the State in the Face of Globalization
Author(s)
Lall, Sanjaya
Abstract
As liberalization and globalization gather pace, concern with competitiveness is growing. The divergences in competitiveness is one of the causes of income disparity, as some countries catch on and succeed, while others are driven deeper into poverty. The author explores what should be done to correct this disparity by comparing both the neoliberal and structuralist approaches. In this article he shows why free markets are not always effective while suggesting that the case for policy is becoming stronger with technical change and globalization.
